TABLE OF CONTENTS Introduction .........................................................................................................................................3

Addressing Inaccuracies from the Opposition................................................................................4

Accelerating Debt Repayment & Primary Balance Reduction ......................................................4

Broadening Ownership - Bottom Up Distribution ..........................................................................8

The COVID-19 Context .......................................................................................................................14

The Last Two Weeks: March 10 – 24, 2020 .................................................................................15

What we know ..............................................................................................................................24

Uncertainties Persist .....................................................................................................................26

FISCAL STIMULUS .............................................................................................................................27

Principles that will guide Fiscal Stimulus ......................................................................................27

The CARE Programme .......................................................................................................................29

BEST Cash ...................................................................................................................................30

SET Cash .....................................................................................................................................31

COVID-19 Grants for marginally self employed and informally employed ...................................32

COVID-19 PATH Grants ...............................................................................................................33

COVID-19 Small Business Grant .................................................................................................34

COVID-19 Tourism Grant ..............................................................................................................35

COVID-19 Compassionate Grants ...............................................................................................36

GCT Reduction .............................................................................................................................37

Timing ...........................................................................................................................................38

Other .............................................................................................................................................39

Jamaica Has Options .........................................................................................................................40

Looking Forward ................................................................................................................................42

Concluding Remarks..........................................................................................................................43

Head No. 72000

and Title: Ministry of Local Government and Community Development

P R O P O S A L S

(1) Except where otherwise stated, adjustments for 

"Compensation of Employees" and "Travel Expenses 

and Subsistence" represent transfers from the   

contingency allocation under Head 20000 - Ministry of  

Finance and the Public Service to meet:  

a) New rates for salaries and allowances effective  179,865.0

April 2016 under the 2015/2017 Heads of Agreement;

b) New rates for travelling effective April 2016 under 65,569.0

the 2015/2017 Heads of Agreement;

c) Arrears for August-October 2015 under the  31,777.0

2015/2017 Heads of Agreement  

d) GCT payments on purchases of goods and services 70,605.0

(2) Annual increase in Retirement Benefits effective July 2015 64,123.0

FUNCTION 01 - GENERAL PUBLIC SERVICES

SUB FUNCTION 99 - OTHER GENERAL PUBLIC SERVICES

PROGRAMME 001 - EXECUTIVE DIRECTION AND

ADMINISTRATION

SUB PROGRAMME 01 - GENERAL ADMINISTRATION

0001 Direction and Management 196,741.0 20,747.0 217,488.0 Additional requirement

Additional

21 Compensation of Employees 2,358.0

22 Travel Expenses and Subsistence 3,514.0

24 Utilities and Communication Services (GCT) 4,053.0

25 Use of Goods and Services (GCT) 10,822.0

20,747.0

0002 Financial Management and Accounting Services 56,762.0 2,862.0 59,624.0 Additional requirement

Additional

21 Compensation of Employees 1,119.0

22 Travel Expenses and Subsistence 1,743.0

2,862.0

FIRST SUPPLEMENTARY ESTIMATES 2016/2017

$000

Activity/

Project

No.

Service & Object of

Expenditure

Approved

Estimates

2016/2017

Approved

New

Estimates

Remarks & Object Classification Provided

by Law

(Statutory)

Supplementary

Estimates

Savings or

Under

Expenditure

72000 - 208

4

ADDRESSING INACCURACIES FROM THE OPPOSITION

Accelerating Debt Repayment & Primary Balance Reduction Mr. Speaker as I said earlier, there is much the Opposition Leader said that I could respond to. The traditional debate has been superseded by the urgency and threat of the COVID-19 pandemic and its effects. However, there is a thread put forward by the Opposition Leader to which I must respond. Mr. Speaker, the one-sidedness of the Opposition Leader seeking to take credit for the GCT rate cut, having never credibly postulated how it could be afforded in a tight fiscal environment, while pounding the table on fiscal responsibility, is rather amusing. Recall that Dr. Phillips proposed a 2% reduction in the rate of GCT, which would have cost $20 billion, but it is difficult to recall any proposal from him to credibly explain how it could be sustainably financed. That, Mr. Speaker, was not responsible. It is therefore ironic that they could believe that he is in any position to provide a critique when, in fact, it was thoughtful, strategic, and coordinated action over two years, by this Government, that provided the resources for an unprecedented debt repayment of $73 billion or 3.3% of GDP as the route to sustainably achieve a fiscal stimulus that includes a 1.5% reduction in the GCT rate, and more. Take note that his speech makes no reference to the “$73 billion repayment of debt” specifically as the counterbalancing measure for the “primary balance reduction”. This is the first sign of a biased account constructed to launch the kind of attack and misinformation campaign that many now see as their unfortunate trademark.

If you read or listened to his speech you would think that the only thing done was a reduction of the primary surplus from 6.5% to 5.4%. It is a superficial, biased, and frankly disappointing approach from a former Minister of Finance to omit substantial and relevant information.

Head No. 72000

and Title: Ministry of Local Government and Community Development

P R O P O S A L S

FIRST SUPPLEMENTARY ESTIMATES 2016/2017

$000

Activity/

Project

No.

Service & Object of

Expenditure

Approved

Estimates

2016/2017

Approved

New

Estimates

Remarks & Object Classification Provided

by Law

(Statutory)

Supplementary

Estimates

Savings or

Under

Expenditure

SUB PROGRAMME 22 - SUPPORT TO MUNICIPAL COUNCILS

0005 Direction and Administration 92,000.0 3,300.0 95,300.0 Additional requirement is due to the following:

(i) Salary 1,344.0

(ii) Travelling and Subsistence 1,956.0

Additional

27 Grants, Contributions & Subsidies 3,300.0

PROGRAMME 526 - SOCIAL SECURITY AND WELFARE

SERVICES

SUB PROGRAMME 20 - POOR RELIEF SERVICES BY LOCAL

AUTHORITIES

1903 Assistance to Infirmaries 666,667.0 9,410.0 676,077.0 Additional requirement is due to the following:

(i) Salary

(ii) Travelling and Subsistence 9,345.0

65.0

Additional

27 Grants, Contributions & Subsidies 9,410.0

FUNCTION 05 - ENVIRONMENTAL PROTECTION AND

CONSERVATION

SUB FUNCTION 01 - SOLID WASTE MANAGEMENT

PROGRAMME 484 - NATIONAL SOLID WASTE MANAGEMENT

AUTHORITY

SUB PROGRAMME 20 - SOLID WASTE MANAGEMENT

0005 Direction and Administration 766,614.0 25,813.0 792,427.0 Additional requirement

Additional

21 Compensation of Employees 11,024.0

22 Travel Expenses and Subsistence 7,395.0

24 Utilities and Communication Services (GCT) 1,747.0

25 Use of Goods and Services (GCT) 5,647.0

25,813.0

72000 - 210

Public Bodies Ministry of Education, Youth and Information

(Other) Broadcasting Commission of Jamaica

_____________________________________________________________________________________________

Public Bodies, FY 2016/17 Page Ministry of Finance and the Public Service 185

Balance Sheet $m

Audited Estimated Projected

2014/15 2015/16 2016/17

Net Assets Employed

Fixed Assets 8.14 116.99 200.89

8.14 116.99 200.89

Current Assets

Licence Fees Recievables 74.70 74.66 99.30

Cash and Bank Deposits 528.60 432.41 394.76

Receivables and Prepayments 5.23 23.72 1.42

608.53 530.79 495.48

Current Liabilities

GCT Payable 1.77 2.36 -

Accounts Payable 17.79 19.56 8.92

19.56 21.92 8.92

Net Current Assets 588.97 508.87 486.56

Net Total Assets 597.11 625.86 687.45

Financed by:

Accumulated Fund B/F 523.26 593.42 624.24

Surplus for the year 73.85 32.44 63.21

597.11 625.86 687.45